3. A treasury bond has just been issued its face value is $1000. And its coupon rate is annually 30%. And it pays coupons once a year, its maturity is in 5 years. Its current price is $980. What is the YTM of this bond? Is this bond at a premium or at a discount? 4. Now we have a perpetuity that possess following cashflows. It pays you $100 at the end of the first year. It pays you $50 at the end of the second year. And it pays you $25 at the end of the third year. From the end of fourth year, it keeps paying you $25 until forever. And the annual interest rate here is 5%. What is the current price of this perpetuity? (Hint: it can be decomposed into a two-year bond and a regular perpetuity.)